Which of the Following Is True About an Implied Warranty

question 55

Multiple Choice

Which of the following is true about an implied warranty?

• A) An implied warranty is a written guarantee.
• B) An implied warranty gives a guarantee of quality in the form of a simple statement.
• C) Implied warranty documents can be written in technical language guaranteeing complete satisfaction.
• D) All sales have an implied warranty under the Uniform Commercial Code.

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Definitions:

Holding-Period Return

The return on an investment over the period it is held.

Dividend

A portion of a company's earnings that is paid to shareholders, usually on a quarterly basis.

Nominal Rate of Interest

The rate of interest before adjustments for inflation, reflecting the face-value rate of interest paid on a loan or received from an investment.

Inflation Rate

The percentage increase in the price level of goods and services in an economy over a period of time.